Emerging markets have come “completely unhinged,” and their struggles will likely drag on growth in the United States and Europe, widely followed market watcher Mohamed El-Erian said Thursday.
On CNBC’s “Fast Money: Halftime Report, the Allianz economic advisor said solid economic trends in the U.S. may not be enough to offset sagging growth in other pockets of the world.
“It’s not that powerful to pull everybody out,” he said, adding that emerging market troubles could drag Europe into a recession.
El-Erian’s remarks follow similar outlooks from World Bank President Jim Yong Kim and IMF Managing Director Christine Lagarde. Both told CNBC this week that emerging markets faced significant headwinds.
This is a breaking news story. Please check back for updates.
Click here for the latest on the markets.
